Karora Resources Inc (KRR.CA) Fundamental Analysis & Valuation

TSX:KRR • CA48575L2066

Current stock price

6.7 CAD
+0.16 (+2.45%)
Last:

This KRR.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. KRR.CA Profitability Analysis

1.1 Basic Checks

  • In the past year KRR was profitable.
  • In the past year KRR had a positive cash flow from operations.
  • KRR had positive earnings in 4 of the past 5 years.
  • In the past 5 years KRR always reported a positive cash flow from operatings.
KRR.CA Yearly Net Income VS EBIT VS OCF VS FCFKRR.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 50M -50M 100M

1.2 Ratios

  • KRR's Return On Assets of 2.29% is amongst the best of the industry. KRR outperforms 89.24% of its industry peers.
  • Looking at the Return On Equity, with a value of 3.78%, KRR belongs to the top of the industry, outperforming 89.86% of the companies in the same industry.
  • With an excellent Return On Invested Capital value of 5.99%, KRR belongs to the best of the industry, outperforming 94.49% of the companies in the same industry.
  • KRR had an Average Return On Invested Capital over the past 3 years of 5.90%. This is significantly below the industry average of 12.70%.
  • The 3 year average ROIC (5.90%) for KRR is below the current ROIC(5.99%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 2.29%
ROE 3.78%
ROIC 5.99%
ROA(3y)3.18%
ROA(5y)6.17%
ROE(3y)5.4%
ROE(5y)10.25%
ROIC(3y)5.9%
ROIC(5y)6.85%
KRR.CA Yearly ROA, ROE, ROICKRR.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 0 -2K -4K -6K -8K

1.3 Margins

  • The Profit Margin of KRR (3.22%) is better than 92.12% of its industry peers.
  • KRR's Profit Margin has declined in the last couple of years.
  • KRR has a better Operating Margin (14.25%) than 92.62% of its industry peers.
  • KRR's Operating Margin has improved in the last couple of years.
  • KRR has a better Gross Margin (40.26%) than 94.87% of its industry peers.
  • KRR's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 14.25%
PM (TTM) 3.22%
GM 40.26%
OM growth 3Y-21.9%
OM growth 5Y4.75%
PM growth 3Y-61.26%
PM growth 5YN/A
GM growth 3Y-5.96%
GM growth 5Y7.74%
KRR.CA Yearly Profit, Operating, Gross MarginsKRR.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 0 -50 -100

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ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. KRR.CA Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KRR is destroying value.
  • KRR has more shares outstanding than it did 1 year ago.
  • Compared to 1 year ago, KRR has a worse debt to assets ratio.
KRR.CA Yearly Shares OutstandingKRR.CA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 50M 100M 150M
KRR.CA Yearly Total Debt VS Total AssetsKRR.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M

2.2 Solvency

  • An Altman-Z score of 4.00 indicates that KRR is not in any danger for bankruptcy at the moment.
  • The Altman-Z score of KRR (4.00) is better than 64.71% of its industry peers.
  • KRR has a debt to FCF ratio of 1.63. This is a very positive value and a sign of high solvency as it would only need 1.63 years to pay back of all of its debts.
  • With an excellent Debt to FCF ratio value of 1.63, KRR belongs to the best of the industry, outperforming 94.87% of the companies in the same industry.
  • A Debt/Equity ratio of 0.15 indicates that KRR is not too dependend on debt financing.
  • With a Debt to Equity ratio value of 0.15, KRR is not doing good in the industry: 68.96% of the companies in the same industry are doing better.
  • Even though the debt/equity ratio score it not favorable for KRR, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
Industry RankSector Rank
Debt/Equity 0.15
Debt/FCF 1.63
Altman-Z 4
ROIC/WACC0.76
WACC7.85%
KRR.CA Yearly LT Debt VS Equity VS FCFKRR.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 100M 200M 300M

2.3 Liquidity

  • KRR has a Current Ratio of 1.79. This is a normal value and indicates that KRR is financially healthy and should not expect problems in meeting its short term obligations.
  • The Current ratio of KRR (1.79) is comparable to the rest of the industry.
  • KRR has a Quick Ratio of 1.33. This is a normal value and indicates that KRR is financially healthy and should not expect problems in meeting its short term obligations.
  • KRR has a Quick ratio (1.33) which is comparable to the rest of the industry.
  • The current and quick ratio evaluation for KRR is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1.79
Quick Ratio 1.33
KRR.CA Yearly Current Assets VS Current LiabilitesKRR.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 20M 40M 60M 80M 100M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

8

3. KRR.CA Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 66.67% over the past year.
  • Measured over the past years, KRR shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -56.65% on average per year.
  • The Revenue has grown by 24.81% in the past year. This is a very strong growth!
  • The Revenue has been growing by 26.45% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)66.67%
EPS 3Y-56.65%
EPS 5YN/A
EPS Q2Q%133.33%
Revenue 1Y (TTM)24.81%
Revenue growth 3Y20.3%
Revenue growth 5Y26.45%
Sales Q2Q%19.35%

3.2 Future

  • The Earnings Per Share is expected to grow by 60.52% on average over the next years. This is a very strong growth
  • The Revenue is expected to grow by 19.87% on average over the next years. This is quite good.
EPS Next Y193.38%
EPS Next 2Y102.98%
EPS Next 3Y60.52%
EPS Next 5YN/A
Revenue Next Year38.22%
Revenue Next 2Y24.68%
Revenue Next 3Y19.87%
Revenue Next 5YN/A

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
KRR.CA Yearly Revenue VS EstimatesKRR.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 200M 400M 600M
KRR.CA Yearly EPS VS EstimatesKRR.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2019 2020 2021 2022 2023 2024 2025 2026 0 0.2 -0.2 0.4 0.6 0.8

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Find the best growth stocksShow best growing peers

9

4. KRR.CA Valuation Analysis

4.1 Price/Earnings Ratio

  • KRR is valuated quite expensively with a Price/Earnings ratio of 26.80.
  • Compared to the rest of the industry, the Price/Earnings ratio of KRR indicates a rather cheap valuation: KRR is cheaper than 89.99% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 25.23, KRR is valued at the same level.
  • KRR is valuated cheaply with a Price/Forward Earnings ratio of 7.74.
  • KRR's Price/Forward Earnings ratio is rather cheap when compared to the industry. KRR is cheaper than 93.49% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 22.51. KRR is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 26.8
Fwd PE 7.74
KRR.CA Price Earnings VS Forward Price EarningsKRR.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, KRR is valued cheaply inside the industry as 91.24% of the companies are valued more expensively.
  • 93.37% of the companies in the same industry are more expensive than KRR, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 30.36
EV/EBITDA 8.95
KRR.CA Per share dataKRR.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0.5 1 1.5 2

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • KRR has an outstanding profitability rating, which may justify a higher PE ratio.
  • A more expensive valuation may be justified as KRR's earnings are expected to grow with 60.52% in the coming years.
PEG (NY)0.14
PEG (5Y)N/A
EPS Next 2Y102.98%
EPS Next 3Y60.52%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. KRR.CA Dividend Analysis

5.1 Amount

  • KRR does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

Find the best dividend stocksShow peers with best dividend

KRR.CA Fundamentals: All Metrics, Ratios and Statistics

Karora Resources Inc

TSX:KRR (8/2/2024, 7:00:00 PM)

6.7

+0.16 (+2.45%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)05-13
Earnings (Next)08-12
Inst Owners17.39%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap1.20B
Revenue(TTM)435.05M
Net Income(TTM)14.00M
Analysts75.56
Price Target6.36 (-5.07%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)94.48%
Min EPS beat(2)-57.57%
Max EPS beat(2)246.54%
EPS beat(4)2
Avg EPS beat(4)51.36%
Min EPS beat(4)-57.57%
Max EPS beat(4)246.54%
EPS beat(8)2
Avg EPS beat(8)5.83%
EPS beat(12)2
Avg EPS beat(12)-5.08%
EPS beat(16)5
Avg EPS beat(16)7.49%
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)1.06%
EPS NQ rev (1m)400%
EPS NQ rev (3m)0%
EPS NY rev (1m)22%
EPS NY rev (3m)101.99%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)17.47%
Valuation
Industry RankSector Rank
PE 26.8
Fwd PE 7.74
P/S 2.76
P/FCF 30.36
P/OCF 7.76
P/B 3.23
P/tB 3.23
EV/EBITDA 8.95
EPS(TTM)0.25
EY3.73%
EPS(NY)0.87
Fwd EY12.91%
FCF(TTM)0.22
FCFY3.29%
OCF(TTM)0.86
OCFY12.89%
SpS2.43
BVpS2.07
TBVpS2.07
PEG (NY)0.14
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 2.29%
ROE 3.78%
ROCE 11.55%
ROIC 5.99%
ROICexc 7.19%
ROICexgc 7.19%
OM 14.25%
PM (TTM) 3.22%
GM 40.26%
FCFM 9.07%
ROA(3y)3.18%
ROA(5y)6.17%
ROE(3y)5.4%
ROE(5y)10.25%
ROIC(3y)5.9%
ROIC(5y)6.85%
ROICexc(3y)7.5%
ROICexc(5y)9.01%
ROICexgc(3y)7.5%
ROICexgc(5y)9.01%
ROCE(3y)11.36%
ROCE(5y)13.19%
ROICexgc growth 3Y-26.23%
ROICexgc growth 5Y-24.41%
ROICexc growth 3Y-26.23%
ROICexc growth 5Y-24.41%
OM growth 3Y-21.9%
OM growth 5Y4.75%
PM growth 3Y-61.26%
PM growth 5YN/A
GM growth 3Y-5.96%
GM growth 5Y7.74%
F-Score7
Asset Turnover0.71
Health
Industry RankSector Rank
Debt/Equity 0.15
Debt/FCF 1.63
Debt/EBITDA 0.41
Cap/Depr 166.97%
Cap/Sales 26.43%
Interest Coverage 14.17
Cash Conversion 118.04%
Profit Quality 282.01%
Current Ratio 1.79
Quick Ratio 1.33
Altman-Z 4
F-Score7
WACC7.85%
ROIC/WACC0.76
Cap/Depr(3y)256.17%
Cap/Depr(5y)245.72%
Cap/Sales(3y)37.86%
Cap/Sales(5y)30.56%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)66.67%
EPS 3Y-56.65%
EPS 5YN/A
EPS Q2Q%133.33%
EPS Next Y193.38%
EPS Next 2Y102.98%
EPS Next 3Y60.52%
EPS Next 5YN/A
Revenue 1Y (TTM)24.81%
Revenue growth 3Y20.3%
Revenue growth 5Y26.45%
Sales Q2Q%19.35%
Revenue Next Year38.22%
Revenue Next 2Y24.68%
Revenue Next 3Y19.87%
Revenue Next 5YN/A
EBIT growth 1Y58.24%
EBIT growth 3Y-6.04%
EBIT growth 5Y32.45%
EBIT Next Year524.63%
EBIT Next 3Y106.32%
EBIT Next 5YN/A
FCF growth 1Y2845.97%
FCF growth 3Y-12.98%
FCF growth 5YN/A
OCF growth 1Y54.53%
OCF growth 3Y13.34%
OCF growth 5YN/A

Karora Resources Inc / KRR.CA Fundamental Analysis FAQ

What is the fundamental rating for KRR stock?

ChartMill assigns a fundamental rating of 7 / 10 to KRR.CA.


Can you provide the valuation status for Karora Resources Inc?

ChartMill assigns a valuation rating of 9 / 10 to Karora Resources Inc (KRR.CA). This can be considered as Undervalued.


Can you provide the profitability details for Karora Resources Inc?

Karora Resources Inc (KRR.CA) has a profitability rating of 8 / 10.


Can you provide the financial health for KRR stock?

The financial health rating of Karora Resources Inc (KRR.CA) is 7 / 10.